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Abdul Raheem is considering investing in Active Piping Company, which is a steel piping manufacturing company. The most recent dividend issued, in 2016, to common

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Abdul Raheem is considering investing in Active Piping Company, which is a steel piping manufacturing company. The most recent dividend issued, in 2016, to common stockholders was $170. Abdul Raheem estimates that the dividend will increase by 10% for the next four years (2017, 2018, 2019 & 2020) due to a new contract with the Bahraini government. After this period, Abdul Raheem predicts a slowing down of the growth rate in dividends back to 5% for the foreseeable future. If Abdul Raheem required rate of return is 15%, what should be consider the fair value in this stock? Paragraphs Font family - Font size - BEU SXX Roll DO b 14 S 2 3 36 5 4 6 7 8 9 0 W E R T > U o P S D G G H J K L C V B B

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